Home / News / Government / Mortgage Rates Fall for Third Week
Print This Post Print This Post

Mortgage Rates Fall for Third Week

Long-term interest rates for home loans continue to drop, marking the third consecutive week they’ve declined. Frank Nothaft, Freddie Mac’s VP and chief economist, explained that fixed mortgage rates are now down about half a percentage point from early June levels, when they began heading upward.
""Freddie Mac"":http://www.freddiemac.com released the results of its ""Primary Mortgage Market Survey"":http://www.freddiemac.com/pmms/release.html on Thursday, which showed the average interest rate for 30-year fixed-rate mortgages (FRMs) at 5.14 percent (0.7 point). That figure is down from last week when the 30-year FRM averaged 5.20 percent. Last year at this time, it was 6.26 percent.
Nothaft said, ""For a 30-year fixed-rate mortgage, the rate reduction over the past five weeks translates into a monthly payment savings of $56 on a $200,000 loan.""
According to Freddie Mac’s study, the 15-year FRM this week averaged 4.63 percent (0.7 point), down from last week when it was 4.69 percent. A year ago at this time, the 15-year FRM was averaging 5.78 percent.
Five-year adjustable-rate mortgages (ARMs) averaged 4.83 percent this week (0.7 point). The 5-year ARM rose slightly from last week when it was 4.82 percent. A year ago, the 5-year ARM was 5.80 percent.
Freddie Mac reported the average rate for 1-year ARMs at 4.76 percent this week (0.5 point). Last week, the 1-year ARM was 4.82 percent, and at this time last year, it was 5.10 percent.

About Author: Carrie Bay

Carrie Bay is a freelance writer for DS News and its sister publication MReport. She served as online editor for DSNews.com from 2008 through 2011. Prior to joining DS News and the Five Star organization, she managed public relations, marketing, and media relations initiatives for several B2B companies in the financial services, technology, and telecommunications industries. She also wrote for retail and nonprofit organizations upon graduating from Texas A&M University with degrees in journalism and English.

Check Also

HUD to Disburse $3.1B in Assistance Funds for Unhoused Peoples

The $3 billion in grants, awarded nationally, will fund over 7,000 projects. It represents the largest amount of annual federal funding provided through HUD’s Continuum of Care program in history.